Welcome to Extreme Investor Network, where we provide you with unique and valuable insights into the stock market, trading, and everything related to Wall Street. Today, we will be discussing the recent trends in the market and what to watch out for in the coming days.
Top Channel Line Stops Ascent
The resistance level around the combination of a 250% extended retracement level at 2,754 and the top rising parallel trend channel line has halted the ascent for now. However, there is potential for higher targets as we anticipate a bullish continuation above this week’s high following a period of consolidation or pullback. Gold recently broke out of a bullish flag pattern on October 15, with a measuring objective pointing to an eventual target of 2,815. Additional Fibonacci measurements confirm this price area, with targets ranging from 2,797 to 2,815.
Watching for Inside Day Breakout
Keep an eye out for a breakout of the inside day, as it will indicate the next direction other than a false signal. Key price levels to watch include the high at 2,743 and low at 2,714 from today, as well as the levels from Wednesday at 2,758 and 2,709. Key support levels are at 2,686 and the 20-Day MA at 2,670, which could provide strong support in case of a pullback.
Above 20-Day MA Retains Bullish Outlook
The bullish outlook for gold remains intact as long as the price stays above the 20-Day MA during a pullback. Falling below this line could signal a potential target at the 50-Day MA at 2,594. However, the 50-Day line is rising and on track to converge with support at the bottom of the flag pattern at 2,602.
Stay tuned for more updates and market analysis on Extreme Investor Network. And for a comprehensive look at all of today’s economic events, don’t forget to check out our economic calendar. Happy trading!